lets tally the events shall we.
the word is out you can easily buy drugs with bitcoin, bitcoin rocks, raw raw raw, the next day bitcoin is worth 30$
the day after that we learn that.. well bitcoin isn't as anonymous as we thought, and hackers love bitcoin. bitcoin is worth 15$
the fallowing week bitcoin is scrutinized, price continues to drop.
In the mist of a lot of bad news bitcoin speculators and small time investors are eager to buy 1,000 bitcoins at 1.xx$... but the market is not stupid and refuses to sell bitcoins below 2.xx.
the next day, we are all very relieved to see that bitcoin will indeed survive above 2$
the next week the NEWS has no choice but take back what they said and admit bitcoin is
strong! prices rise, volume doubles
speculators, hoarders and traders Start selling their coins at the "top"! surprisingly it is very easy. Hundreds of thousands of coins are traded above 6$, every day for 2 weeks,
Bitcoinia users become overly confident that the market will bounce back from 6$ to 7$ and everyone goes long. the market dips down slightly causing a Zhoutongization effect! in under 2 hour we see a low 4.64$ and a high of 7$ only to close at 6$
another attempt at breaking 7$ starts only to be stopped at 6.66$
7$ seems like a yesterdays pipe dream, someone drops a knife. 10,000BTC wall at 5.20 effectively catches the knife.
the price beings to move up again.
5.75$ sounds sell alarms.
tomorrow... is anyone guess, i cant wait!